UTAIC v. MACKEEN & BAILEY INC.

No. 94-50503.

99 F.3d 645 (1996)

UNITED TEACHERS ASSOCIATES INSURANCE COMPANY, Plaintiff-Counter Defendant-Appellee, v. MACKEEN & BAILEY INC.; W Duncan MacKeen, Defendants-Counter Plaintiffs-Third Party Plaintiffs-Appellants, v. The WHIDBEE CORP.; Hoyt Jr. Whidbee, Jr.; David M. Morgan, Third Party Defendants-Appellees.

United States Court of Appeals, Fifth Circuit.

October 28, 1996.


Attorney(s) appearing for the Case

Joe K. Longley, Austin, TX, Donald R. Taylor, Taylor & Dunham, Austin, TX, for United Teachers Associates Insurance Company, MacKeen, Whidbee Corp., Whidbee, Jr., and Morgan.

Floyd R. Nation, Austin, TX, Randolph Michael James, James & Jones, Winston-Salem, NC, for MacKeen & Bailey, Inc., MacKeen, Whidbee Corp., Whidbee, Jr., and Morgan.

Lauren Marie Bloom, American Academy of Actuaries, Washington, DC, for American Academy of Actuaries, amicus curiae.

Before LAY, DUHÉ and DeMOSS, Circuit Judges.


DeMOSS, Circuit Judge:

An insurance company filed this suit for breach of fiduciary duties against its actuary. We hold that the actuary, because of the particular facts of his relationship with the company, was a fiduciary, and that he breached his fiduciary duties to the company. We hold, however, that the district court erred in applying the usurpation of corporate opportunity doctrine to a corporate fiduciary other than an officer, director or major shareholder...

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